Yasho Industries Limited announces Greenfield Expansion at Pakhajan, Gujarat

Yasho Industries Limited (BSE: 541167 / ISIN: INE616Z01012) a leading manufacturer & supplier of specialty and fine chemicals, today announced that the Board of Directors of the Company has approved a capital expenditure of INR 350 Cr in Phase 1 for its greenfield project at Pakhajan (Dahej), Gujarat. The company intends to manufacture lubricant additives and rubber chemicals with a total capacity of 15500 MT per annum in phase 1 at this new facility. Post expansion, the total manufacturing capacity will increase from 11,000 MTPA to 26,500 MTPA with a revenue potential of INR 500 Cr to 550 Cr in Phase 1 at full capacity utilisation. The project is expected to be completed in 24 months after receiving all necessary governmental approval. The capital expenditure towards the project will be financed through a combination of internal accruals and debt.

Commenting on the expansion, Mr. Parag Jhaveri, Managing Director & CEO, Yasho Industries Limited said, "The demand for lubricant additives and rubber chemicals is increasing globally. We foresee a reasonable demand for our products in the market on account of our ability to manufacture quality products and our reliability. The enhanced capacity will also allow us to approach large multinational consumers who we could not approach in the past due to limited capacity This investment will lay the foundation for the next phase of growth for the Company."

Shares of Yasho Industries Ltd was last trading in BSE at Rs. 1808.50 as compared to the previous close of Rs. 1724.70. The total number of shares traded during the day was 45945 in over 1079 trades.

The stock hit an intraday high of Rs. 1810.50 and intraday low of 1725.00. The net turnover during the day was Rs. 80801537.00.

Source : Equity Bulls

Keywords

YashoIndustries INE616Z01012 ExpansionProject Dahej Pakhajan Gujarat